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Bento Africa, the Nigerian HR technology startup embroiled in allegations of tax and pension irregularities, has temporarily shut down operations.
The decision follows the resignation of founder and CEO Ebun Okubanjo and the layoff of its engineering team after a standoff over unpaid salaries.
Bento’s 10-person tech team was laid off in January after employees refused to work until they received their January salaries. Despite stepping down on January 30, Okubanjo informed employees the next day that their salaries would be “strategically delayed” to prioritise client payroll processing, according to Google Chat messages reviewed by TechCabal.
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Employees, citing financial hardship, collectively halted operations until their salaries were paid—a move that ultimately crippled Bento’s ability to process payroll for its clients.
At least three companies reported on social media that Bento failed to process their payroll in early February. The company, which once boasted of automated salary disbursements, has been manually processing payments since 2024 due to payment processor issues and underfunded accounts.
In response to the chaos, Bento’s board sent an email to customers, advising them not to fund their payroll accounts while the company stabilises.
“We will proceed to temporarily shut down operations to bring stability back to the company… We are confident of the restoration of normalcy soon.”
Despite the shutdown, Bento assured customers that it has paid staff their January salaries and reactivated key personnel to clear outstanding payroll obligations. However, the company is still struggling to disburse payments for some clients.
Bento has promised to refund affected clients by Tuesday if their salary payments cannot be processed. However, with:
- An abrupt CEO resignation,
- Allegations of tax and pension fraud,
- Payroll disruptions, and
- A shrinking workforce,
Bento’s future remains uncertain. Nevertheless, its board maintains optimism, stating that normalcy will be restored soon.
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